IBPS Clerk Mains 29 Nov 2025 Paper

Concept:A mutual fund pools household savings and invests them in capital markets; India's first such fund was a public sector initiative created under an Act of $1963$.Explanation:Unit Trust of India (UTI) was set up under the UTI Act, $1963$, making it the first mutual fund established in India.It was founded jointly by the Reserve Bank of India and the Government of India to channel household savings into equity and debt markets.Though the Act was passed in $1963$, UTI began operations in $1964$ with its flagship scheme, $\text{US-64}$.This scheme attracted millions of small investors and built a strong retail investment culture in India.UTI worked as a statutory body until $2002$, when it was restructured into UTI-I and UTI Mutual Fund after reforms.Until private players entered in $1987$, UTI held over $80\%$ of the industry's assets under management (AUM).Hence, among the given options, the first mutual fund established in India in $1963$ is Unit Trust of India, not SBI Mutual Fund, LIC Mutual Fund, Canara Robeco, or Kotak Mahindra MF.Answer:Option B — Unit Trust of India (UTI)